10 Inside BUSINESS Thursday, December 14 2017 | NEW ERA KBB signs collaboration agreement with building supply chain Staff Reporter Windhoek Despite the struggling mass housing delivery plan and the construction industry facing very hard times, Heinrich Schroeder, the founder of the innovative Kavango Block Brick (KBB) Building system, is very optimistic about the future. In fact, KBB’s Italian partner Luca Grandonico of CGM-SRL was in Windhoek this week to discuss the way forward together with recently acquired building material supplychain partners. Schroeder’s optimism is strengthened by the fact that two very important collaboration agreements are being formalized between KBB and a leading building supply chain to bring affordable housing within reach of many previously excluded potential homeowners. KBB and Grandonico, representing CGM, have been hard at work to redesign a more affordable and compact block-making machine to manufacture the full KBB range of interlocking masonry blocks, and related building materials. KBB’s new machine can manufacture the new KBB SUPA Quick Joining hands… KBB’s Heinrich Schroeder meeting with his Italian partner, Luca Grandonico of CGM-SRL, in Windhoek this week. Photo: Contributed masonry block range which comprises a combination of conventional SUPA bricks and the KBB interlocking range of blocks. The current machine commissioned by KBB is now outdated and will be replaced by the more compact machine, developed in collaboration with the Italian partners, Schroeder said this week. “As Namibian patent design owners, we are excited about the prospects which lie ahead. We have the natural resources, which can be used as superior building materials when processed using the innovative machinery which our Italian partners have developed,” said Schroeder. He added that KBB has devised a detailed cost breakdown master plan for bulk infrastructure services for the 14 regions, which he believes can be used as an example for SADC and the rest of Africa. “One of the key aspects is to reduce the cost of servicing of land, and to reduce building material supply distribution costs. The new range of bloc-making machines include compact models which can be set up near or at the site where housing developments are taking place. The KBB and CGM range of machines have been designed for ease of product handling and consist of double production lines which speed up production of the KBB and conventional range of any masonry products,” said Schroeder. KBB aims, in collaboration with its building material supply-chain partner, to roll out the block-making machines throughout the 14 regions of Namibia and SADC. KBB has negotiated a deal with its Italian partners to also assemble the CGM range of block-making machines on Namibian soil. This is delivery cost of the Italian and KBB range of block-making machines, and even serve as the main distribution point to supply SADC neighbours with the KBB and CGM product range of specialised compact blockmaking machines. “Our dream is to contribute towards reducing slums and squatter camps throughout Africa by collaborating with shack dwellers and build-together groups throughout the SADC region, using Namibia as an example,” said Schroeder. MARKET OVERVIEW Change Latest 3 months 0.01% 7.13% 6 months 0.00% 7.73% CGP CAPRICORN INVESTMENT GROUP L 1800 0.00% 9 months 0.00% 8.01% NBS NAMIBIA BREWERIES LTD 3900 0.00% 12 months -0.01% 8.35% BVN BIDVEST NAMIBIA LTD 785 0.00% Change Latest FNB FNB NAMIBIA HOLDINGS LTD 4665 0.00% GC18 (R204 : 7.61%) -0.02% 8.52% ORY ORYX PROPERTIES LTD 2060 0.00% GC21 (R208 : 8.32%) -0.02% 9.14% NAM NAMIBIAN ASSET MANAGEMENT LT 72 0.00% GC24 (R186 : 9.24%) -0.02% 10.46% NHL NICTUS NAMIBIA 189 0.00% GC27 (R186 : 9.24%) -0.02% 10.85% BMN BANNERMAN RESOURCES LTD 63 1.61% GC30 (R2030 : 9.7%) -0.02% 11.37% DYL DEEP YELLOW LTD 335 -1.18% GC32 (R213 : 9.76%) -0.02% 11.47% SILP STIMULUS INVESTMENT LTD-PREF 12129 0.00% GC35 (R209 : 9.93%) -0.02% 11.36% FSY FORSYS METALS CORP 191 3.24% GC37 (R2033 : 9.87%) -0.02% 11.87% TUC TRUSTCO GROUP HOLDINGS LTD 700 0.00% %Change Latest B2G B2GOLD CORP 3619 0.28% Gold -0.31% $ 1,240.65 Platinum -0.75% $ 873.96 Copper 0.00% $ 6,663.00 Brent Crude -0.03% $ 64.76 %Change Latest NSX (Delayed) 0.23% 1181.38 JSE All Share -0.49% 57,244.01 SP500 0.15% 2,664.11 FTSE 100 0.05% 7,503.99 Hangseng 1.49% 29,222.10 DAX -0.16% 13,162.21 %Change Latest Financials 0.43% 15,883.43 Resources -0.33% 35,925.07 Industrials -0.91% 78,359.65 %Change Latest N$/US dollar -0.30% 13.6348 N$/Pound -0.10% 18.1984 N$/Euro -0.38% 15.9981 US dollar/ Euro -0.07% 1.1734 Latest Previous Namibia Inflation (Oct 17) 5.2 5.6 Bank Prime 10.50 10.50 BoN Repo Rate 6.75 6.75 REZONING WINDHOEK TOWN PLANNING SCHEME On behalf of the registered owner of Erf 3732, Pavlov Street No. 2, Windhoek, PLANTEK intends applying to the Windhoek Municipality for: Erf 3732, Pavlov Street No. 2, Windhoek, is currently zoned for “Residential” purposes. Erf 3732 measures 844m² in size and is currently developed. It is the intention of the owner to demolish the existing building on Erf 3732 and to rezone Erf 3732, Pavlov Street No. 2, from “Residential” to “Business” with a Bulk of 0.4 and after rezoning Erf 3732 will be consolidated with Erf Re/859 into Consolidated Erf X, for the purpose of expanding the business activities. Take notice that the locality plan of the erf lies for inspection at Windhoek Municipality, Customer Care Centre, Main Municipal Further take notice that any person objecting to the proposed use of the land as set out above may lodge such objection together with the grounds thereof, with the City and with the applicant in writing within 14 days of the last publication of this notice. The last day for objections will be
Thursday, December 14 2017 | NEW ERA Inside BUSINESS 11 Namibia in Global Impact Accelerator Movers and shakers… The teams from Namibia and Botswana at SLUSH, Helsinki, Finland. Photo: Contributed Staff Reporter Windhoek FABlab Namibia and the winners of the 2017 #pitchnightnam, attended the global impact accelerator at the renowned SLUSH conference in Helsinki, Finland last week. The event was created to fasttrack innovation impact across the globe and give innovation hubs a chance to present themselves, meet like-minded people and organisations and engage with venture capitalists. Namibia was represented for the year, this is testimony to the level of innovation and technological developments that has been pursued by Namibia University of Science and Technology’s (NUST) very own FABlab. Kirstin Wiedow the director and co-founder of FABlab Namibia, as well as David Shatiwa, BDS coordinator from the tangible In- Namibia is being recognised and its star is rising on the global stage as a player contributing to local innovation. Further proof of this were the two local Namibian Helping out… Bank Windhoek’s Keetmanshoop branch administrator, Dorine Hartung (left), received the Champion Award from Deputy Minister for Disability Affairs Alexia Manombe, in recognition of her bank’s work for people the Vice President’s Department of Disability Affairs nominated and awarded Bank Windhoek for being an active institution that supported organisations of persons with disability through its social corporate responsibility programmes. Bank Windhoek was recognised for its training, innovation and capacity building activities for various organisations of people with disabilities countrywide. Photo: Contributed start-ups that had the opportunity to accompany Kirstin Wiedow and David Shatiwa to Helsinki, as part of their prize in the #pitchnightnam competition. The two start-ups were Kaveto Tjatjara, whose innovation assists in providing decent ablution facilities for all Namibians without the need for water connectivity and the runner-up was Vincent van Wyk with his locally designed low-cost PC. Not only did they get to participate in the SLUSH event, they also had the opportunity through the SAIS funded programme to take part in a fully facilitated business matchmaking schedule with venture capitalists. Namibia rose 10 places in the Global Innovation Index over the past year and it’s partly through NUST’s FABlab that this rise has been possible. As a key player, together with stakeholders and partners FABlab is mobilising the local community and driving product innovation in Namibia. The Slush Global Impact Accelerator (GIA) is a program created in collaboration with the Ministry for Foreign Affairs of Finland and global partners. Supporting impact start-ups and showcasing the exciting business opportunities in emerging markets, which are also vital for implementing the Agenda 2030. In addition, the programme focuses on strengthening the networks between the impact actors, engaging the Nordic community with the global impact entrepreneurs, and enhancing the mobilization of capital towards impactful business. Namibia was not the only small nation with a large appetite for innovation that was present in Helsinki; Tunisia, Serbia, Kosovo, Nepal, Palestine, Israel, Kenya, Zambia, Botswana, Tanzania, Sri Lanka, Lebanon, Jamaica and many more joined. Director and co-founder of FABlab Namibia Kirstin Wiedow, said; “GIA 2017 brought impact-driven entrepreneurs from emerging markets to Helsinki to accelerate their business, attract additional networks. “This is why it was so great to be able to take our winning innovators along and see and show how they can drive and develop their ideas, meet people with the same dream of entrepreneurship and innovation from around the world.” Nairobi’s retail real estate hub for future growth Staff Reporter Windhoek From 2000 to 2008 Nairobi’s added 72 000 square meters of retail real estate to East Africa’s largest commercial hub. This build was spread across three shopping precincts. In the nine years from 2009 to 2017 the city added another 351 900 square meters of retail real estate across 17 developments. This expan- the retail real estate build of the previous decade. Kenya’s strong economic growth of the last decade presented a favourable retail real estate investment proposition. The country’s relatively sophisticated domestic retail and real estate investment sectors were not slow to leverage this opportunity. nancial services sector - strengthened by the presence of regional and global banks - was also critical in, “delivering the capital and global sector expertise able to maximise Nairobi’s retail real estate opportunity,” says Gerhard Zeelie, Head of Real Estate Finance, Africa Regions for Standard Bank. The result is that, today, most analysist agree that Nairobi is currently oversupplied with retail space. Certainly, “many of Nairobi’s newer developments have taken much longer to mature than initially anticipated - with vacancy rates only reducing below 10% after two to three years’ operation,” explains Zeelie. Kenya’s longer-term growth prospects are, however, likely to re-ignite activity in Nairobi’s real estate sector absorbing stock over the medium term. Factors that could drive take up of real estate stock include, for example, the development of the country’s oil and gas sectors. Once this starts in earnest this will augment Kenya’s on-going infrastructure build supporting the country’s existing urbanisation and broader consumer themes. At the same time Nairobi’s retail market continues to change very quickly, adding new entrants all the time. These entrants are rapidly evolving – and responding to – changed consumer behaviour. For example, malls in Nairobi are mainly busy over the weekend. that, “people buy the basics at their local markets during the week, waiting for the weekend to travel to a destination mall that mixes both retail, health, wellness and leisure to deliver a fun experience for the whole family,” explains Zeelie. While this means that established malls have quite a good captive market, it also means that consumers in Nairobi plan their mall visits a lot more than residents of less congested cities. As such, in future, the scope for digital advertising during the week, when potential customers are planning their mall visits, is likely to be a key determinant of shopping patterns in Nairobi. The fact that malls also need to provide experiences for the whole family also means that both brand relative space allocation of retail versus, leisure, entertainment and health and wellness - is also changing quickly in Nairobi shopping precincts. The recently opened Two Rivers Mall, boasting over 60,000 square metres of retail space is, bell weather for how Nairobi’s retail real estate market is evolving - as well as how it is likely to perform,” says Mr Zeelie. Certainly, compared with a decade ago, “Nairobi has a far broader range of retail real estate product and brand options,” says Zeelie. While Nairobi has had malls for quite some time, recently completed centres are troducing a wider selection of brand and product options with international retail competitors now adding further dynamism and new models to the market. Until relatively recently, for example, the market was dominated by local retailers. With the recent arrival of global rivals Game and Carrefour, the market has seen both an increase in investment and choice – and higher levels of competition in the last 18 months. “It will be interesting to see how these retailers perform especially given Nairobi’s very different – and irregular – shopping habits,” says Zeelie. While all these changes are likely to drive a new wave of growth in Nairobi’s retail real estate sector, even when Kenya’s longer term economic growth prospects are considered the, “robust retail real estate build of the last decade means that for the foreseeable future Nairobi is probably oversupplied with stock,” says Zeelie. In addition, given the cost, long investment tenors and slowed rate of retail stock utilisation, “as in supply over the last decade, investors should not be looking for stellar returns overnight,” cautions Zeelie. That said, the established trajectory of Kenya’s broader economic growth, the experience and sophistication of the local sectors, the sustained interest of global retail majors and the resilience and rapid digital evolution of the Kenyan consumer bode well for the long-term prospects of Nairobi’s retail real estate sector. These fundamentals not only, “justify the build of the last decade, but also position the sector to innovate new growth as Kenya looks to its next big development themes - in oil and gas and associated infrastructure and service builds,” says Zeelie.